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Exchange of sales, leasing and purchase of real properties (realty business)

This activity constitutes a regulated trade.

In order to pursue a regulated trade, the person wishing to conduct the activity must obtain a certificate of trade authorisation issued by the relevant District (Trade Licence) office, acting as the Point of Single Contact (PSC), according to the place of residence of a natural person, registered office of a legal person, the address of a place of business of a foreign person’s undertaking or the address of a place of business of an organisational unit of a foreign person’s undertaking, based on a trade notification.

In order to obtain a certificate of trade authorisation, the applicant must comply with the general and specific conditions for the pursuit of the trade and must pay an administrative fee of € 15 (€ 7.5 in the event of electronic notification of the trade) per regulated trade.

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Once all the conditions have been fulfilled, natural persons with residence in an EU or OECD Member State, legal persons already registered in the Business Register and legal persons that are not subject to registration in the Business Register may start their business already on the day of trade notification. The PSC shall issue a trade licence within 3 business days of the date, when the trade notification and statements from the register of criminal records had been delivered to it.

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General and specific conditions for the pursuit of the regulated trade:

A natural person or legal person wishing to pursue a regulated trade must fulfil the general and specific conditions for the pursuit of the trade:

  • the general conditions for the pursuit of a regulated trade are the following:
       - age 18 and above;
       - full legal capacity;
       - clean criminal record (evidenced by a statement from the register of criminal records)
  • a specific condition for the pursuit of a regulated trade is the demonstration of professional aptitude

Note:
Fulfilment of general conditions by a Slovak legal person: the general conditions apply to the statutory body or responsible representative, if appointed; the specific conditions apply to the appointed responsible representative, unless otherwise stipulated in the Trades Act. In the event of a foreign person’s undertaking, the general conditions apply to the head of the foreign person’s undertaking and, in the case of an organisational unit of a foreign person’s undertaking, the head of that organisational unit.
Statements from the register of criminal records: natural persons with residence and legal persons with registered office in the Slovak Republic, to whom the condition of a clean criminal record applies, shall provide the data necessary for requesting a statement from the register of criminal records maintained by the General Prosecution of the Slovak Republic. Persons who are not Slovak nationals shall document their fulfilment of the condition of a clean criminal record by a statement from the register of criminal records issued in their home Member State or a natural person’s Member State of origin or, where such statements are not being issued, an equivalent document issued by the relevant court or administrative body or, where such documents are not issued within 2 months of request, an affidavit. The document may be dating back no more than 3 months and must be translated into the state language.

Professional aptitude for the pursuit of this regulated trade is evidenced by the following:

  • an evidence of university education in the field of economy, law, civil-engineering or architecture, or
  • an evidence of secondary education completed with a school-leaving certificate and five years of practical experience in the relevant business. 

Trade License Department of the District Office shall issue a trade license certificate to a person from the Community when all general conditions for pursuing a trade and professional qualification requirement have been met:

  1. by providing a proof of education or
  2. by providing a proof of education and proof of practical experience.

Note:
A person from the Community is every natural person who is EU member state national or state which is the party to the Agreement on EEA national and Swiss Confederation national (hereinafter referred to as the "member state') and every natural person established under the member state law having their registered office, central administration or principal place of business within the territory of such countries.

Additional information concerning the trade

The regulated trade involves the brokering of sale, lease and purchase of real estate. The real estate broker provides professional brokerage services for the client with a view to signing a purchase contract  or a lease agreement. The broker (a real estate agency) carries out brokerage activities for the benefit of the client who is interested in the purchase, sale or lease of a real estate based on a real estate brokerage contract. In the brokerage contract the real estate agency undertakes to arrange, for consideration, the signing of a purchase or lease contract for the real estate specified in the contract. The real estate brokerage contract is a contract for consideration, i.e. the result is achieved through the effort of the broker.

An entrepreneur shall:

  • Set up an establishment (the establishment may also be set up after the date of trade notification), designate it and notify its setting up to the PSC no later than on the date of setting up. The establishment must be approved by the Regional Public Health Authority of the Slovak Republic.
  • Demonstrate authorisation to use the real-estate property: a natural person shall demonstrate authorisation to use the real-estate property indicated as the place of business, if the address of the place of business is different from the address of residence; a foreign person shall demonstrate authorisation to use the real estate property indicated as the place of business of a foreign person’s undertaking or the place of business of an organisational unit of a foreign person’s undertaking. A legal person shall demonstrate authorisation to use the real-estate property indicated as its registered office, with the exception of legal persons that are subject to registration in the Business Register; a foreign person shall demonstrate authorisation to use the real estate property indicated as the place of business of a foreign person’s undertaking or the place of business of an organisational unit of a foreign person’s undertaking. 
  • Notify the scope of its business, the location and name of establishments, if set up, including the addresses, and the mailing address, if different from the registered office or place of business, to the Assay Office of the Slovak Republic in writing within 15 days of commencement of business activities.

Administrative fees

Issuance of a certificate of trade authorisation per regulated trade € 15
Issuance of a certificate of trade authorisation per regulated trade submitted electronically € 7.50

The fee may be paid:

  1. in the form of an e-stamp tax ("kiosk", Slovak Post Office);
  2. in the form of a cash or card payment to the relevant administrative authority;
  3. for electronic submission by a wire transfer from a bank account.

Notification of a regulated trade (how and where to notify a trade)

A regulated trade notification may be submitted:

- electronically via the Central Public Administration Portal of the Slovak Republic at this link and press "Enter the portal" (instruction for sending electronic forms)

or

- in person at the relevant local PSC according to the address of permanent residence in the event of a natural person or registered office in the event of a legal person;  in the event of foreign persons, the relevant local PSC depends on the address of a place of business of a foreign person’s undertaking or the address of a place of business of an organisational unit of a foreign person’s undertaking

Note:
By filling in and sending either electronic or paper notification form the entrepreneur has fulfilled all procedures necessary for starting a business. Where a trade is notified by a natural person, the PSC shall automatically handle registration with the Tax Office, registration in the mandatory health insurance system and, in the event of a Slovak natural person, also a statement from the register of criminal records free of charge. The use of these services is mandatory for natural persons. For legal persons, the PSC shall automatically provide a statement from the register of criminal records; other PSC services, such as registration in the Business Register, taxpayer registration and notification, and registration in the mandatory health insurance system are voluntary for legal persons.

Annexes to trade notification:

  1. document demonstrating professional aptitude of an entrepreneur or a responsible representative, if appointed (e.g. a document certifying completion of the relevant field of training or study, evidence of practical experience, etc.);
  2. authorisation to use the real estate property if the address of the place of business is different from the address of residence in the case of a natural person or from the registered office in the case of a legal person; 
  3. a statement from the register of criminal records in the case of persons who are not Slovak nationals; 
  4. responsible representative’s consent to his/her appointment, if appointed (form available for download)
  5. other documents

 

 

Last modified: 16. 1. 2020

 

Links

Related legislation:

  • Act No. 455/1991 Coll. on Trade Licensing as amended
  • Act No. 513/1991 Coll. “the Civil Code”, as amended

Note:
The applicable wording of acts is available at: https://www.slov-lex.sk/domov

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